Economists are often wrong.  While they are usually pretty smart people who make some really good observations, the reality is they are terrible at successfully predicting when the economy will do certain things.  Therefore, it's probably best to ask people who are actually involved in the economy on a day-to-day basis - namely, CEOs and CFOs.  However, executives have recently turned bearish.

High energy prices and interest rates have dimmed U.S. chief executives' view of the economy, according to a quarterly survey released Monday by the Business Roundtable.

The survey found that top CEOs' expectations for economic growth over the next six months had slipped to their lowest level in three years. Its CEO economic outlook index dropped sharply to 82.4 in September from the second-quarter reading of 98.6, for a second consecutive quarterly decline.

The survey pool includes Roundtable members: CEOs from large U.S. companies. Any number higher than 50 indicates economic expansion.

"They see things slowing down, materially slowing down," said Harold McGraw, chairman, president and CEO of McGraw-Hill Cos., who also serves as chairman of the Washington-based group.

The survey also mentioned 74% of CEOs expect sales to rise in the next six months.  However, it's important to remember CEOs are also very aware of the media and it's influence on public perception.  Therefore, some of those answers may have been happy-talk.

CEOs are not the only people who are concerned:

Financial executives' attitude on the U.S. economy has gone downhill. In the midst of weakening housing prices and consumer demand, plus concern about fuel costs, labor costs, and interest rates, nearly 50 percent of CFOs are more pessimistic about the economy than they were three months ago. This pessimism is the highest it's been in more than five years, according to the latest results of the quarterly Duke University/CFO Business Outlook Survey.

Although one-third of the CFOs surveyed predict a U.S. recession in the next year, they are relatively upbeat about the prospects for their own companies. Nearly 46 percent are more optimistic about their companies' prospects compared to last quarter, but only 19.8 percent are more optimistic about the U.S. economy. Still, both numbers showed a decline from when the survey was last taken, at the beginning of the summer.

There are several reasons why these numbers are important.  First, these are people who manage large companies.  Therefore, they are engaged daily with the economy and see what is happening with their companies and their customers.  In essence, this is good anecdotal information about what the top executives in the country are seeing.  Secondly, there are currently economists who are arguing that an upsurge in business investment will take the place of decreasing residential mortgage investment.  However, the bearish attitudes expressed above indicate a surge in business investment may not be forthcoming.